Corporate Banner
Satellite Banner
Technology
Networks
Scientific Communities
 
Become a Member | Sign in
Home>News>This Article
  News
Return

Affymetrix to Acquire eBioscience

Published: Wednesday, December 14, 2011
Last Updated: Wednesday, December 14, 2011
Bookmark and Share
Under the terms of the agreement, Affymetrix will acquire eBioscience for $330 million in cash subject to certain customary adjustments. The transaction is subject to customary closing conditions.

Affymetrix expects the acquisition of eBioscience to:

•    Create significant new commercial opportunities in the key post-genomic applications of immunology, oncology, cell biology, stem cell biology, and diagnostics
•    Diversify the Company's revenues to complement its genomics franchise
•    Augment the Company's growing business in molecular diagnostics
•    Expand the Company's product portfolio to include multicolor flow cytometry reagents and a broad spectrum of reagents for the analysis of cytokines, growth factors and other soluble proteins
•    Enhance the operational and new product opportunities for Panomics RNA and protein analysis products
•    Leverage the commercial capabilities of both companies to generate new opportunities for growth

"The acquisition of eBioscience is transformational for our business, and we are enthusiastic about the opportunities it creates," said Dr. Frank Witney, president and chief executive officer of Affymetrix.

"With eBioscience, Affymetrix will significantly expand its addressable markets by adding an industry-leading portfolio of cell-based and immunoassays. These new products are a critical part of our customers' workflow in our key target markets of translational medicine, oncology, and immunology.

We believe that these markets represent a nearly three-billion dollar annual opportunity, which will put Affymetrix on a solid path to sustained growth and profitability. We look forward to welcoming the eBioscience team to the Affymetrix family."

"This transaction places Affymetrix at the forefront of immunology and oncology, two of the fastest growing segments of molecular and translational medicine," said Dr. Stephen P.A. Fodor, founder and chairman of Affymetrix. "eBioscience complements our traditional businesses of genomics and cytogenetics, and dramatically strengthens our foundation in molecular diagnostics."

"The combination of Affymetrix and eBioscience has significant benefits," said Tim Barabe, executive vice president and chief financial officer of Affymetrix. "With 2011 sales expected to exceed $70 million, gross margins in excess of 70% and EBITDA margin of approximately 30%, eBioscience makes Affymetrix a much stronger company, both operationally and financially. The purchase price represents approximately 4.5 times 2011 revenue and 14 times 2011 EBITDA."

The transaction will be funded using a combination of roughly 50% cash-on-hand and 50% committed debt to avoid dilution and maximize value to shareholders.

Affymetrix has obtained a fully underwritten senior secured financing commitment in the amount of $190 million (including a $20 million revolving credit facility) led by administrative agent GE Capital, Healthcare Financial Services and including, as lenders, Silicon Valley Bank, CIT Healthcare LLC and CIT Bank. Affymetrix will be required to retain cash-on-hand of approximately $95 million to cover its outstanding convertible debt that can be put to the Company in January of 2013. GE Capital Markets, Silicon Valley Bank and CIT Capital Securities LLC will serve as joint lead arrangers and bookrunners for the transaction.

Affymetrix, which is headquartered in Santa Clara, expects to maintain eBioscience's management team and operations in San Diego.

Houlihan Lokey, Inc. is acting as exclusive financial advisor to Affymetrix and Davis Polk & Wardwell LLP is acting as legal counsel to Affymetrix in the transaction. Jefferies & Company, Inc. is acting as exclusive financial advisor to eBioscience and DLA Piper LLP is acting as eBioscience's legal counsel in the transaction.


Further Information

Join For Free

Access to this exclusive content is for Technology Networks Premium members only.

Join Technology Networks Premium for free access to:

  • Exclusive articles
  • Presentations from international conferences
  • Over 4,000+ scientific posters on ePosters
  • More Than 5,300+ scientific videos on LabTube
  • 35 community eNewsletters


Sign In



Forgotten your details? Click Here
If you are not a member you can join here

*Please note: By logging into TechnologyNetworks.com you agree to accept the use of cookies. To find out more about the cookies we use and how to delete them, see our privacy policy.

Related Content

Thermo Acquires Affymetrix
Thermo Fisher Scientific and Affymetrix, has announced that Thermo Fisher has completed its previously announced acquisition of Affymetrix for $14.00 per share in cash, for a total purchase price of approximately $1.3 billion.
Friday, April 01, 2016
Groupe Grimaud Chooses Affymetrix Genotyping Arrays
Affymetrix, Inc. has announced that one of the world’s largest producers of breeding chickens – Roussay, France-based Groupe Grimaud – will use the Axiom® genotyping platform from Affymetrix in its genomic selection and poultry breeding program.
Thursday, February 25, 2016
Bio-Genesys, Affymetrix Partner
Partnership to offer animal genomic testing services to professional farming operations.
Wednesday, January 13, 2016
Thermo Fisher Scientific to Acquire Affymetrix
Strengthens leadership in biosciences and genetic analysis.
Monday, January 11, 2016
Affymetrix, Reveal Biosciences Partner
Partnership agreement to offer RNA ISH tissue staining, imaging, and image analysis services.
Thursday, December 03, 2015
Affymetrix and Athletigen Partner
Partnership agreement to advance genetics in human athletic performance.
Thursday, October 29, 2015
Affymetrix and Luminex Announce Distribution Agreement
Agreement for multiplexed assay instrument platform.
Friday, October 16, 2015
Green Super Rice Project Selects Affymetrix Genotyping Platform for Developing New Rice Varieties
The Green Super Rice (GSR) project includes building a highly efficient genotyping platform for the large-scale molecular breeding activities within the international rice research community.
Tuesday, September 22, 2015
Affymetrix, BioRealm, RUCDR Ally
Affymetrix, BioRealm, and RUCDR Infinite Biologics today announced a strategic alliance to genotype the National Institute of Drug Abuse biorepository.
Wednesday, July 08, 2015
Affymetrix Acquires Assets of Eureka Genomics
Aquisition will enable provision of high throughput and economical crop and animal genotyping.
Thursday, May 14, 2015
CollabRx, Affymetrix To Develop Analytical Tools For Integrated Clinical Cancer Panels
The overall objective of the partnership is to provide scientific knowledge for biomarker CNV profiles in cancer.
Wednesday, April 16, 2014
University of Bristol Collaborates with Affymetrix on Genotyping Arrays
Results from the array presented at the 2014 Plant and Animal Genome conference.
Wednesday, January 15, 2014
Affymetrix Reports 2013 First Quarter Results
Affymetrix, Inc. reported its operating results for the three months ended March 31, 2013.
Wednesday, May 01, 2013
Affymetrix and BioDiscovery Announce Software for Analysis of Whole Genome Copy Number Data
Generated from FFPE solid tumor samples for accelerating cancer translational research.
Thursday, April 11, 2013
Ingenuity Systems and Affymetrix Partner
Companies collaborate to eliminate microarray expression analysis bottleneck.
Monday, April 08, 2013
Scientific News
Big Genetics in BC: The American Society for Human Genetics 2016 Meeting
Themes at this year's meeting ranged from the verification, validation, and sharing of data, to the translation of laboratory findings into actionable clinical results.
Stem Cells in Drug Discovery
Potential Source of Unlimited Human Test Cells, but Roadblocks Remain.
Automated Low Volume Dispensing Trends
Gain a better understanding of the current and future market requirements for fully automated LVD systems.
Cancer Genetics: Key to Diagnosis, Therapy
When applied judiciously, cancer genetics directs caregivers to the right drug at the right time, while sparing patients of unnecessary or harmful treatments.
Soil Carbon Release Might Equal U.S. Emissions
Research suggests 55M tons of carbon will be release from soils by 2050, 17% higher than prjected emissions.
‘NoBody,’ a Microprotein On a Mission
Researchers identify over 400 microproteins encoded in the human genome, one of which clears unneeded genetic material inside cells.
Unexpected Epigenetic Enzymes Role in Cancer
Researchers use epigenetics to identify the role of an enzyme family as regulators of genetic message interpretation in yeast.
Genetic Links to Brain Cancer Cell Growth
Researchers discover clues to tumour behaviour from genetic differences between brain cancer cells and normal tissue cells.
New Form of Autism Found
An international team of researchers have identified a new form of syndromic autism.
Radiation-Free Imaging in the Brain
Scientists create sensors that use proteins to detect particular targets through induced blood flow changes.
Scroll Up
Scroll Down
Skyscraper Banner

SELECTBIO Market Reports
Go to LabTube
Go to eposters
 
Access to the latest scientific news
Exclusive articles
Upload and share your posters on ePosters
Latest presentations and webinars
View a library of 1,800+ scientific and medical posters
4,000+ scientific and medical posters
A library of 2,500+ scientific videos on LabTube
5,300+ scientific videos
Close
Premium CrownJOIN TECHNOLOGY NETWORKS PREMIUM FOR FREE!